The Uganda Retirement Benefits Regulatory Authority (URBRA) was established under section 2 of the Uganda Retirement Benefits Regulatory Authority Act, No. 15 of 2011. Sections 5 and 6 spell out the functions and powers of URBRA, which include, overseeing and regulating the establishment, management and operation of retirement benefits schemes in Uganda, protecting the interests of members and beneficiaries of all schemes, and promoting the development of the retirement benefits sector in Uganda.
In exercising our supervisory role to protect the interest of members and their beneficiaries, URBRA has found it prudent to put Mazima Voluntary Individual Retirement Benefits Scheme under interim administration with the following objectives.
- To ensure the proper governance and management of the scheme
- To protect members’ interests
- To ensure compliance with the URBRA Act, 2011 and regulations made thereunder
In accordance with sections 78, 79 and 80 of the URBRA Act, 2011, therefore, URBRA has appointed M/s. Octagon Uganda Limited as the Interim Administrator of the Mazima Voluntary Individual Retirement Benefits Scheme. The supervision measure is estimated to last for a period of three (3) months but subject to extension for a period not exceeding twelve (12) months.
This being a temporary supervisory intervention, URBRA would like to emphasise that normal scheme operations, including collection of contributions and benefits’ payment, will continue, however, under the management and control of the Interim Administrator. The scheme funds shall continue to be held with the scheme’s licenced custodian; M/s. Housing Finance Bank Ltd and investments carried out by the scheme’s licensed fund manager, M/s. African Alliance Uganda Ltd.
Finally, URBRA reiterates its commitment to promote the development of the retirement benefits’ sector and the efforts towards extending coverage to the informal sector. This however must be within the confines of the URBRA Act, the Regulations thereof and the Guidelines, all intended to protect the interest of scheme members and their beneficiaries, and to ensure stability of the financial sector.
Martin A Nsubuga
Ag. CHIEF EXECUTIVE OFFICER
18th APRIL, 2018